Noida, Uttar Pradesh, April 17, 2025 (10:36 AM IST) – Electric ride-hailing firm BluSmart is reportedly facing significant operational headwinds, with users in parts of Delhi-NCR and Bengaluru indicating a suspension of ride bookings through its app. This development coincides with an ongoing investigation by the Securities and Exchange Board of India (SEBI) into Gensol Engineering, a company with close ties to BluSmart and its co-founder, Anmol Singh Jaggi.
Moneycontrol, in an exclusive report earlier today, highlighted that the BluSmart app no longer permits users to schedule rides, fueling speculation about a potential pause in the company’s core on-demand service operations in these key metropolitan areas. While the app remains active, the inability to book future rides suggests a significant disruption to its usual functioning.
This operational uncertainty emerges against a backdrop of intriguing reports suggesting a potential strategic pivot for BluSmart. Sources indicate that the electric mobility company might be transitioning away from its direct-to-consumer ride-hailing model to become a fleet partner for the global giant, Uber. This potential shift reportedly involves the transfer of a substantial portion of BluSmart’s all-electric fleet, estimated to be between 700 and 800 electric vehicles, onto Uber’s platform. However, as of now, there has been no official confirmation or timeline disclosed by either BluSmart or Uber regarding this potential collaboration.
BluSmart, founded in 2019 by Anmol Singh Jaggi, Puneet Jaggi, and Punit Goyal, distinguished itself in the competitive ride-hailing market by operating a 100% electric fleet and offering scheduled pick-up and drop services, differentiating itself from the primarily on-demand models of Ola, Uber, and Rapido. The company has been actively pursuing growth, with an ongoing Series B funding round aiming to raise $50 million. To date, BluSmart has reportedly secured ₹61 crore (approximately $7 million based on current exchange rates) from 26 individual investors, with the remaining capital anticipated in the near future.
However, the company’s growth trajectory has been recently overshadowed by regulatory scrutiny. SEBI has accused BluSmart co-founder Anmol Singh Jaggi of alleged fund diversion from Gensol Engineering for personal expenses and transfers to related entities. In a decisive move, the market regulator has barred Gensol and associated entities from trading in the securities market and has temporarily disqualified the promoters, including Anmol Singh Jaggi, from holding directorial or key managerial positions in any listed company.
The reported suspension of ride bookings in key markets, coupled with the SEBI investigation and the potential fleet partnership with Uber, paints a complex picture for BluSmart. It raises questions about the company’s immediate operational viability and its long-term strategic direction. The potential transition to a fleet partner for Uber could signify a significant shift in BluSmart’s business model, potentially leveraging its electric vehicle fleet within Uber’s established platform rather than directly competing in the ride-hailing space.
Industry analysts suggest that the regulatory challenges faced by a key executive might have prompted a re-evaluation of BluSmart’s operational strategy. Becoming a fleet provider could offer a more stable revenue stream and potentially mitigate some of the direct operational complexities of running a consumer-facing ride-hailing service, especially amidst the current regulatory scrutiny.
The coming weeks are likely to be crucial in determining the future course for BluSmart. Official announcements from the company or Uber regarding the potential fleet partnership, as well as any further updates from the SEBI investigation, will provide greater clarity on the electric ride-hailing firm’s next chapter in the dynamic Indian transportation landscape.
